Qantas moves early on super data flood

Superannuation funds are beginning to take advantage of new statutory requirements to capture up to 3000 additional pieces of data from members and investment managers, in an effort to transform the way funds ­tailor their products.

Gigabytes of new data are being collected from investment managers and super fund members as part of the government’s suite of “stronger super" reforms, begun three years ago, and are driving moves to refresh analytics systems at several funds.

One of Australia’s largest corporate funds,
Qantas
Super, is looking to introduce new analytics models over the next 12 months that will use some of the data collected under the new requirements from the Australian Prudential Regulation Authority to help keep track of members’ requirements and tailor its fund product appropriately.

The fund, which manages $6 billion in assets for 33,000 members, will mine the material to provide its investment team of four with the latest data.

It will also provide the company’s board with up-to-date graphs and analytics, transmitted to each board member’s iPad through a solution from IQ Group being rolled out to parts of the company. “We have always collected a depth of data in a range of areas; we’re now looking at what all of the requirements are," Qantas Super chief executive Jane Perry said.

“One of the distinct advantages a corporate fund has is that you tend to be closer to your members and you arguably have more information than other super funds. Our intent is to ­leverage that."

She said the new requirements meant the company was forced to collate the information in a coherent manner for the first time, enabling a better view of member demographics and the investment portfolio.

But not all super funds are ready to take advantage of the potential efficiencies afforded by the revamped technology systems.

Australian Institute of Superannuation Trustees chief executive Tom Garcia said there was “some concern that many funds have not got a full understanding of just how big this task will be".

The chief executive of the Association of Superannuation Funds of Australia,
Pauline Vamos
, said the raft of changes currently occurring in the $1.4 trillion industry made it difficult for some funds to keep up with the requirements.

“When you look at all of the ­legislative change, and you’ve got data collection on top, that’s where the challenge is because of the resources and ability to pull all the changes through IT systems," she said.